American Economic Review
ISSN 0002-8282 (Print) | ISSN 1944-7981 (Online)
Dynamic Pricing of Electricity
American Economic Review
vol. 102,
no. 3, May 2012
(pp. 381–85)
Abstract
As both a regulator and an academic, Fred Kahn argued that end-use electricity consumers should face prices that reflect the time-varying marginal costs of generating electricity. This has been very slow to happen in the US, even in light of recent technological advances that have lowered costs and improved functionality for meters and automated demand response technologies. We describe these recent developments and discuss the remaining barriers to the proliferation of time-varying electricity pricing.Citation
Joskow, Paul L., and Catherine D. Wolfram. 2012. "Dynamic Pricing of Electricity." American Economic Review, 102 (3): 381–85. DOI: 10.1257/aer.102.3.381JEL Classification
- L11 Production, Pricing, and Market Structure; Size Distribution of Firms
- L94 Electric Utilities
- L98 Industry Studies: Utilities and Transportation: Government Policy
- Q41 Energy: Demand and Supply